Question

E5-14 Determining Cost Behavior, Preparing Contribution Margin Income Statement [LO 5-1, 5-5] Riverside Inc. makes one model of wooden canoe. Partial information for it follows: Number of Canoes Produced and Sold 455 605 755 $ 63,700 * 148,300 $212,000 Total costs Variable costs Fixed costs Total costs Cost per unit Variable cost per unit Fixed cost per unit Total cost per unit Required: 1. Complete the table. (Round your cost per unit answers to 2 decimal places.) 455 6 05 7 55 Number of Canoes Produced and Sold Total Costs Variable Costs Fixed Costs $ 63,700 148,300 212,000 Total Costs $ $ 0 $ Cost per Unit Variable Cost per Unit Fixed Cost per Unit Total Cost per Unit $ 0.00 $ 0.00 $ 0.00

Answer 1

rate positively ..

Ans 1
	Number of unit	455	605	755
	Total cost
	Variable cost	63700	84,700	105,700
	Fixed cost	148300	148,300	148,300
	total cost	212000	233000	254000
	Cost per unit
	Variable cost per unit	140.00	140.00	140.00
	Fixed cost per unit	325.93	245.12	196.42
	Total cost per unit	465.93	385.12	336.42
Ans 3
	Unit contribution margin = (513-140)	373
	Contribution margin ratio = 373/513	73%
Ans 4
	Contribution margin income statement -
	Sales		412965
	Variable cost		112700
	Contribution margin		300265
	Fixed cost		148300
	Net operating income		151965